The rapidly exploding U.S. national debt is about to cross another critical threshold. According to the U.S. Treasury, the debt of the federal government is currently sitting at $21,854,296,172,540.94, and at our current pace we will likely hit the $22 trillion mark next month. This is a horrifying national crisis, and yet nothing is being done about it. When Barack Obama entered the White House in January 2008, the U.S. was $10.6 trillion in debt, and so that means that we have added 11.2 trillion dollars of new debt to that total in less than 11 years. Needless to say, it doesn't take a math genius to figure out that we have been adding an average of more than a trillion dollars a year to the national debt for more than a decade. But instead of getting our insatiable appetite for debt under control, Congress is actually accelerating our spending. At this point, there is no possible scenario in which this story ends well.

Meanwhile, the global financial elite are really starting to talk up the possibility of a new financial crisis.

The storm clouds of the next global financial crisis are gathering despite the world financial system being unprepared for another downturn, the deputy head of the International Monetary Fund has warned.

David Lipton, the first deputy managing director of the IMF, said that "crisis prevention is incomplete" more than a decade on from the last meltdown in the global banking system.

"As we have put it, 'fix the roof while the sun shines'. But, like many of you, I see storm clouds building and fear the work on crisis prevention is incomplete."

And according to CNBC, Janet Yellen is warning that "we could have another financial crisis"...

"I think things have improved, but then I think there are gigantic holes in the system," Yellen said Monday night in a discussion moderated by New York Times columnist Paul Krugman at CUNY. "The tools that are available to deal with emerging problems are not great in the United States."

Yellen cited leverage loans as an area of concern, something also mentioned by the current Fed leadership. She said regulators can only address such problems at individual banks not throughout the financial system. The former fed chair, now a scholar at the Brookings Institution, said there remains an agenda of unfinished regulation. "I'm not sure we're working on those things in the way we should, and then there remain holes, and then there's regulatory pushback. So I do worry that we could have another financial crisis."

It almost sounds as if they have been reading The Economic Collapse Blog. Of course they probably aren't, and the truth is that at this point the next crisis is so close that just about everybody should be able to see it.

That sounds nice, but we are already adding more than a trillion dollars to our national debt every year. If we want to spend a trillion dollars fixing up our crumbling infrastructure, where is that money going to come from?

We have been spending far, far more money than we have been bringing in, and that has been propping up our economy for quite some time now. But we are progressively making our long-term problems much worse, and there is no way that we can sustain this Ponzi scheme for much longer.

And it isn't just the national debt that is a massive problem. U.S. consumers are more than 13 trillion dollars in debt, and a new report has discovered that credit card debt continues to surge to new heights...

Americans are carrying a record amount of credit card debt, according to a new study. The average American family has about $7000 in revolving debt compared to $6081 this time last year. And as interest rates rise, so will those monthly payments to service these debts.

This year's report focused on revolving debt (debt that is carried over month after month) because it is a "more accurate indicator" of financial hardship, said NerdWallet, who compiled the report. "Credit card debt is the stain on millions of Americans' finances that doesn't scrub off easily, if ever," says NerdWallet credit card expert Kimberly Palmer. "High interest rates combined with expenses that continue to outweigh income mean that some households are unable to fully rid themselves of debt and, in fact, continue to take on more."

We are a society that is absolutely addicted to cheap debt, but now interest rates are going up, and that is going to cause some enormous financial problems.

Our world has never seen anything like the debt bubble that we are facing right now, and most of that debt was accumulated when interest rates were low. The system simply cannot handle higher rates at this point, and according to Michael Pento "a worldwide depression is coming like we have never seen before"...

"Unfortunately, a worldwide depression is coming like we have never seen before because we have never before had so much debt sit on top of artificially depressed interest rates," said Pento in an interview with USA Watchdog's Greg Hunter back in May."The hubris and arrogance of central banks to take that away, they are way too late in doing so, and they think they can do this with impunity. They are dead wrong. They (central banks) have always caused recessions. We are heading into a global depression."

Whenever you go into debt in order to enjoy a higher standard of living than you currently deserve, there are short-term benefits but long-term pain.

For decades, America has been stealing from the future in order to make the present more pleasant, but now we have painted ourselves into a corner.

If we had made wiser choices, things could have turned out differently, but that didn't happen.

Reader Comments

sad to say, this WILL happen, just a matter of time, this world is full of money hungry greedy bastards, yet many are homeless, many starve, many cant afford simple health benefits,

to be honest, the sooner the better, these greedy fuckwits, need to come down a few pegs or so, we, and those who have a hard time making ends meet, and yet we survive, still with a smile at the end of the week, ha fuckin haha, we are the strong, yet the money hungry selfish twats, will go kill themselves, again, sooner the better!!, like back in 2008-09, the world will be better off when these twats are gone,

then we all get along.. about friggin time!! and work together and sort it out, people helping each other, like it used to be!!

With global food shortages and the ice age just around the corner, the elites don’t care about this. In fact I suspect it’s part of the plan. The government has trillions of unaccounted for dollars that are probably either stashed away, or have been spent secretly getting things set up. The elites have their survival plans, and the military is ready to protect them. When all this hits it will assure that they end up with the world to themselves. It’s the opposite of being fattened up for slaughter. Financially ruined, homeless, sick and starved. We are being prepared for the culling. The super rich have no interest in reversing the financial meltdown. They don’t care if the government collapses. They’re beyond governments. And when the government does fall, the elites will simply inherit the military as their own private security force.

There is no debt if the money is fiat. The entire monetary system was created by fraud and it's run criminally. Fraud nullifies all contracts. This is why all debt will be forgiven when this system resets to an asset backed monetary system.

The world's economies are being attacked by socialists...…. Socialism has never worked and will result in the world being in crisis. Too many people are animals... People will not help one another out but will attack and steal from the weak. Civilization, as we know, it will cease. Keep your guns close and loaded.....You will need them in good time.